CryptoCurrency

Binance Seeks to Deregister Cypriot Subsidiary

Cyprus Deregisters Binance
The European Union-based Binance, which received its seventh regulatory licence in January, has requested that its native business in Cyprus be deregistered. In October of last year, the alternative obtained a Cyprus licence to operate as a supplier for cryptocurrency asset firms.
Retraction from Cyprus comes at a time when Binance and competitor Coinbase are being investigated by US regulators. The US Securities and Exchange Commission (SEC) filed a lawsuit against Binance and its CEO, Changpeng Zhao, earlier this month. The SEC said that Binance and Zhao ran cryptocurrency exchanges, Binance.com and Binance.US, and offered unregistered securities.
Binance further clarified that it was preparing its business to comply with the historic crypto regulations, Markets in Crypto Property (MiCA), which were recently approved by the two EU legislative bodies. It is expected that the law will take effect at some point in 2024.
MiCA has been said to as the first comprehensive crypto law in history. The rule aims to prevent money laundering in the cryptocurrency industry, safeguard European consumers, and uphold environmental sustainability. When MiCA takes effect the next year, providers of crypto wallets and exchanges of digital assets would have to obtain a licence in order to operate within any country within the European Union. Stablecoin issuers would also need to maintain sufficient reserves.

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